Sega, the No. 3 Player in Games,
Hunts for Chip-Making Partners

TOKYO -- The ailing underdog of the video-game business is plotting a comeback, with help from some big friends.

Sega Enterprises Ltd. is in talks to license its Dreamcast video-game technology to other companies, in a bid to keep up in its bruising race with industry leader Sony Corp. Sega also is negotiating with U.S., Japanese and European semiconductor companies about creating a joint venture that would build an advanced chip to power Dreamcast, Sega's Internet-capable game machine, and other Internet devices, people...